BIS Survey Finds Central Banks Increasing CBDC Efforts Globally

• The foreign exchange firm BIS conducted a survey of central banks.
• Just 83 out of 222 central banks took part in the poll, making it a very small sample size.

According to a recent survey, some central banks are increasing their efforts to investigate digital currencies issued by the central bank.

The foreign exchange firm BIS conducted a survey of central banks and found that in 2023, there was a “sharp uptick” in CBDC-related experiments among the banks that deal with developed nations. From 2022 to 2023, there was a 35% rise in proof of concept initiatives among those central banks, and the number of CBDC pilots almost tripled over that time.

The BIS researchers stated:

“The survey suggests that central banks are proceeding at their own speed, taking diverse approaches and considering different design features.”

Wholesale CBDC on the Rise

Just 83 out of 222 central banks took part in the poll, making it a very small sample size. Only 28 belonged to developed-world central banks, while the remaining 58 belonged to institutions in emerging markets, as reported by BIS.

Around 54% of the central banks polled are testing either proof of concept or the underlying technology for CBDC issuances, according to BIS statistics. Also, around one-third of the institutions that participated in the poll said they were doing CBDC pilot programs.

The percentage of advanced economy central banks doing proof of concept tests connected to wholesale CBDC increased to 81% from 10% the previous year, while the percentage of banks conducting pilots increased to 33%.

When compared, the number of EMDE central banks engaged in wholesale CBDCs was much lower. Stablecoin adoption is still low, according to BIS statistics, even if central banks are looking into CBDCs at a faster pace in developed nations.

Highlighted Crypto News Today

Ethereum Teeters on the Edge of Breaking Crucial Support Zone